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HomeMy WebLinkAboutOrd 1989-2320 ORDINANCE NO. 2320 AN ORDINANCE OF THE CITY OF CHULA VISTA, CALIFORNIA ESTABLISHING A DEVELOPMENT IMPACT FEE TO PAY FOR VARIOUS PUBLIC FACILITIES WITHIN THE CITY OF CHULA VISTA WHEREAS, the City's General Plan Land Use and Public Facilities Elements require that adequate public facilities be available to accommodate increased population created by new development, and WHEREAS, the City Council has determined that new development within the City of Chula Vista will create adverse impacts on the City's existing public facilities which must be mitigated by the financing and construction of certain public facilities identified in this ordinance, and WHEREAS, the City Council has determined that a reasonable means of financing the public facilities is to levy a fee on all developments in the City of Chula Vista, and WHEREAS, the fee has been justified by the report entitled, "Report on Supplemental Development Impact Fee for Public Facilities" dated June 1989 and prepared by the Budget Officer of the City of Chula Vista, and WHEREAS, the report and various other reports show that the City's ._ public facilities will be adversely impacted by new developments within the City unless public facilities are improved or constructed to accommodate the new development, and WHEREAS, developers of land within the City should be required to mitigate the burden created by development through the construction or improvement of public facilities within the boundaries of the development, the construction or improvement of public facilities outside the boundaries of the development which are needed to provide service to the development in accordance with City standards and the payment of a fee to finance a development's portion of the total cost of the public facilities, and WHEREAS, all development within the City contribute to the cumulative burden on various public facilities in direct relationship to the amount of population generated by the development or the gross acreage of the commercial or industrial land in the development, and WHEREAS, on August 1, 1989, City Council held a duly noticed meeting at which oral or written presentations could be made, and WHEREAS, the City Council determined, based upon the evidence presented at the meeting, the City's General Plan and the various reports and other information received by the City Council in the course of its business, that imposition of the public facilities development impact fee on all developments as indicated in Attachments B through G in the City of Chula Vista for which building permits have not yet been issued is necessary in order to protect the public safety and welfare in order to ensure effective implementation of the City's General Plan, and WHEREAS, the City Council has determined that the amount of the fee ~evied by this ordinance does not exceed the estimated cost of providing the public facilities. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CHULA VISTA DOES ORDAIN AS FOLLOWS: SECTION 1: Establishment of Fee. (a) A development impact fee in the amounts set forth in attachments B through G is hereby established to pay for various public facilities within the City of Chula Vista. The fee shall be paid before the issuance of building permits for each development project within the City of Chula Vista as indicated by Attachments B through G. The fee shall be deposited into a public facility financing fund which is hereby created and shall be expended only for the purposes set forth in the this ordinance. The Director of Finance is authorized to establish various accounts within the fund for the various improvements and facilities identified in this ordinance and to periodically make expenditures from the fund for the purposes set forth herein in accordance with the facilities phasing plan or capital improvement plan adopted by the City Council. The City Council finds that collection of the fees established by this ordinance at the time of the building permit is necessary to ensure that funds will be available for the construction of facilities concurrent with the need for these facilities and to ensure certainty in the capital facilities budgeting for growth impacted public facilities. (b) The fee established by this section is in addition to the requirements imposed by other City laws, policies or regulations relating to the construction or the financing of the construction of public improvements within subdivisions or developments. (c) The fee for each development shall be calculated at the time of building permit application and shall be the amount as indicated at that time and not when the tentative map or final mad were granted or applied for, or when the building permit plan check was conducted. Each single family detached dwelling, single family attached dwelling, or unit within a multi-family dwelling shall be considered one EDU for purposes of this fee. Each commercial project shall be charged at the rate of 10 EDU's per gross acre and each industrial project shall be charged at the rate of 6 EDU's per gross acre. The charges shall be those outlined in Attachments B through G. -2- The City Council shall annually review the amount of the fee. The City Council may adjust the amount of this fee as necessary to reflect changes in the Engineering-News Record Construction Index, the type, size, location or cost of the various public facilities to be financed by the fee, changes in land use designations in the City's General Plan, and upon other sound engineering, financing and planning information. Adjustments to the above fee may be made by resolution amending the Master Fee Schedule. Id) The fees collected shall be used by the City for the following purposes as determined by the City Council: 1. To pay for the construction of facilities by the City, or to reimburse the City for facilities installed by the City with funds from other sources. 2. To reimburse developers who have been required by Section 4(a) of this ordinance to install approved various public facilities listed in Section 3. 3. To reimburse developers who have been permitted to install improvements pursuant to Section 4(b) of this Ordinance. SECTION 2: Definitions. For the purposes of this ordinance, the following words or phrases shall be construed as defined in this Section, unless from the context it appears that a different meaning is intended. (a) "Building Permit" means a permit requi red by and issued pursuant to the Uniform Building Code as adopted by reference by this City. (b) "Developer" means the owner or developer of a development. (c) "Development Permit" means any discretionary permit, entitlement or approval for a development project issued under any zoning or subdivision ordinance of the City. (d) "Development Project" or "Development" means any activity described in Section 65927 and 65928 of the State Government Code. (e) "Supplemental Development Impact Fee Report" means that the "Report on Supplemental Development Fee for Public Facilities" report prepared by the Budget Officer of the City of Chula Vista dated June 28, 1989, and on file in the Office of the City Clerk. -3- b - p,3p, o SECTION 3: Public Facilities to be Financed by the Fee. (a) The various public facilities to be financed by the fee established in this ordinance are: 1. Expansion of the Chula Vista Civic Center. 2. Remodeling of the Police facility. 3. Construction of a new corporation yard in the Eastern Territories. 4. Construction of two new libraries east of 1-805. 5. Expansion of the Fire Suppression system. 6. Geographic Information System. (b) The City Council may modify or amend the list of projects in order to maintain compliance with the City's General Plan or the Capital Improvement Program. SECTION 4: Developer Construction of Various Public Facilities (a) Whenever a developer of a development project would be required by application of City law or policy as a condition of approval of a development permit to construct or finance the construction of a portion of a public facility identified in Section 3 of this ordinance, the City Council may impose an additional requirement that the developer install the improvements with supplemental size or capacity in order to ensure efficient and timely construction of the public facilities listed in this ordinance. If such a requirement is imposed, the City Council shall, in its discretion, enter into a reimbursement agreement with the developer or give a credit against the fee otherwise levied by this ordinance on the development project or some combination thereof. Ib) A developer may request authorization from the the City Council to construct one or more of the facilities listed in Section 3. (c) Whenever a developer requests reimbursement or a credit against fees for work done or paid by the developer under subsections la) or (b) of this section, the request shall be submitted in writing to the City Council before commencement of the work. The request shall contain the following information and if granted, shall be subject to the following conditions: 1. Detailed descriptions of the project with the preliminary cost estimate. -4- 2. Requirements of developer: preparation of plans and specifications for approval by the City; secure and dedicate any right-of-way required for the project; secure all required permits, environmental clearances necessary for construction of the project; provision of performance bonds (where the developer intends to utilize provisions for immediate credit, the performance bond shall be for 100 percent of the value of the project); payment of all City fees and costs. 3. The City will not be responsible for any of the costs of constructing the project. The developer shall advance all necessary funds to construct the project. 4. The developer shall secure at least three (3) qualified bids for work to be done. The construction contract shall be granted to the lowest qualified bidder. If qualified, the developer may agree to perform the work at a price equal to or less than the low bid. Any claims for additional payment for extra work or charges during construction shall be justified and shall be documented to the satisfaction of the Director of Public Works. 5. The developer shall provide a detailed cost estimate which itemizes those costs of the construction attributable to the Public Facility Construction and excludes any work attributable to a specific subdivision project. The estimate is preliminary and subject to final determination by the Director of Public Works upon completion of the Public Facility Project. 6. Upon approval of the estimated cost by the Director of Public Works, the developer shall be entitled to immediate credit for 75 percent of the estimated cost of the construction attributable to the Public Facility Construction. The immediate credits shall be applied to the developers' obligation to pay fees for building permits issued after the establishment of the credit. The developer shall specify these building permits to which the credit is to be applied at the time the developer submits the building permit applications. 7. If the developer uses all of the 75 percent immediate credit before final completion of the public facility, then the developer may defer payment of Development Impact Fees for other building permits by providing to the City liquid -5- security such as cash or an irrevocable letter of credit, but not bonds or set-aside letters, in an amount equal to the remaining 25 percent of the estimated cost of the public facility. 8. When all work has been completed to the satisfaction of the City, the developer shall submit verification of payments made for the construction of the project to the City. The Director of Public Works shall make the final determination on expenditures which are eligible for credit or cash reimbursement. 9. After final determination of eligible expenditures has been made by the Public Works Director, the final amount of Development Impact Fee credits shall be determined. The developer shall receive credit against the deferred fee obligation in an amount equal to the difference between the final expenditure determination and the amount of the 75 percent immediate credit used if any. The amount of the deferred fee obligations shall be based upon the fee schedule in effect at the time of the final credit determination. The Director of Public Works shall convert the credit to an EDU basis for residential development and/or a Gross Acre basis for commercial or industrial development. The City shall notify the developer of the final deferred fee obligation, and of the amount of the applicable credit. If the amount of the applicable credit is less than the deferred fee obligation, then the developer shall have thirty 130) days to pay the deferred fee. If the deferred fees are not paid within the thirty-day period, the City may make a demand against the liquid security and apply the proceeds to the fee obligation. 10. The developer will receive the credit against required Development Impact Fees incrementally at the time building permits are issued for the developer's project. If the total construction cost amounts to more than the total Development Impact Fees which will be required for the developer's project, then the amount in excess of Development Impact Fees will be paid in cash when funds are avail able as determined by the City Manager, a reimbursement agreement will be executed; or the developer may waive reimbursement and use the excess as credit against future Development Impact Fee obligations. -6- SECTION 5: Procedure for Fee Waiver or Reduction: Any developer who, because of the nature or type of uses proposed for a development project, contends that application of the fee imposed by this ordinance is unconstitutional or unrelated to mitigation of the burdens of the development, may apply to the City Council for a waiver or reduction of the fee. The application shall be made in writing and filed with the City Clerk not later than ten (lO) days after notice of the public hearing on the development permit application for the project is given, or if no development permit is required, at the time of the filing of the building permit application. The application shall state in detail the factual basis for the claim of waive or reduction. The City Council shall consider the application within sixty (60) days after its filing. The decision of the City Council shall be final. If a reduction or waiver is granted, any change in use within the project shall subject the development to payment of the fee. The procedure provided by this section is additional to any other procedure authorized by law for protection or challenging the fee imposed by this ordinance. SECTION 6: Exemptions. Development projects by public agencies shall be exempt from the provisions of the fee if those projects are designed to provide the public service for which the agency is charged. SECTION 7: Assessment District. If any assessment or special taxing district is established for any or all of the facilities listed in Section 3, the owner or developer of a project may apply to the City Council for a credit against the fee in an amount equal to the development's attributable portion of the cost of the authorized improvements as determined by the Director of Public Works plus incidental costs normally occurring with the construction project but excluding costs associated with Assessment District proceedings or financing. SECTION 8: Expiration of this Ordinance. This ordinance shall be no further force and effect when the City Council determines that the amount of fees which had been collected reaches an amount equal to the cost of the public facilities or reimbursements. SECTION 9: Time Limit for Judicial Action. Any judicial action or proceeding to attack, review, set aside, void or annul this ordinance shall be brought within the time period as established by Government Code Section 54995 after the effective date of this ordinance. -7- SECTION lO: Effective Date. Pursuant to Government Code Section 65962, this ordinance shall become effective sixty (60) days after its second reading and adoption. Presented by Approved as to form by Budget Officer /Th~J. a WPC 2869A -8~ FIRST READ AT A REGULAR MEETING OF THE CITY COUNCIL OF THE C ,' OF CHULA VISTA· CALIFORNIA· HELD August 8 . 19 89 · AND FINALLY PASSED AND ADOPTED AT A REGULAR MEETING THEREOF HELD August 15 19 89 , BY THE FOLLOWING VOTE· TO-WIT: AYES: Cou~il~n: Moore, McCandliss, Nader, Cox, Malcolm NAYES: Councilmen: None ABSTAIN: Councilmen: None ABSENT: Councilmen: None Ivlo/~b~yg~o,ff)the/~C'~/of Chulo Vista STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) s s. CITY OF CHULA VISTA ) I, JENNIE M. FULASZ, CMC, CITY CLERK of the City of Chulo Vista, California, DO HEREBY CERTIFY that the above 13nd foregoing is o full, true and correct copy of ORDINANCE NO. 2320 ,and that the some has not been amended or repealed. DATED CC-660